Federal Government Secures $134 Million AfDB Loan to Boost Agriculture and Strengthen Food Security

The Federal Government has secured a $134 million loan from the African Development Bank to boost agricultural production, with a particular focus on the seeds and grains sector.

The Ministry of Agriculture and Food Security announced the funding in a statement released on Thursday. According to the Chief Information Officer of the ministry, Eremah Anthonia, the loan will enable farmers nationwide to increase the production of essential staple crops, strengthening food security in Nigeria.

“The Federal Government has secured a $134 million loan facility from the African Development Bank to support farmers in increasing seeds and grain production across the country,” the statement said.

Minister of Agriculture and Food Security, Senator Abubakar Kyari, revealed the loan during the launch of the 2024/2025 National Dry Season Farming initiative in Calabar. Kyari, along with Cross River State Governor Bassey Otu, represented by Deputy Governor Peter Odey, highlighted the loan’s role in advancing Nigeria’s agricultural sector.

“The reintroduction of national dry season farming is crucial for sustaining year-round agricultural output,” Kyari stated. “This loan will significantly enhance national food security by supporting the production of essential crops such as wheat, rice, maize, sorghum, soybean, and cassava.”

Kyari added that the loan is part of the National Agricultural Growth Support Scheme – Agro Pocket Project, which is designed to increase the capacity of Nigerian farmers to meet rising food demands. He noted that the Federal Government has declared an emergency on food production to ensure access to affordable, nutritious food for Nigerians.

Providing an update on support to farmers under the 2023/2024 dry season program, Kyari said, “So far, 107,429 wheat farmers have been supported under phase one, 43,997 rice farmers under phase two, and an additional 192,095 farmers growing rice, maize, sorghum, millet, soybean, and cassava nationwide.”

He emphasized Cross River’s strategic role in Nigeria’s wheat production, stating that over 3,000 wheat farmers in the state will benefit from the new loan. “Cross River has demonstrated a strong commitment to wheat production, which is why we’re collaborating to enhance wheat supply starting with the 2024/2025 dry season,” Kyari said.

The initiative aims to support 250,000 wheat farmers across wheat-producing states, targeting an output of 750,000 metric tons of wheat, which will reduce Nigeria’s reliance on imports. Additionally, 150,000 rice farmers will receive support, with an expected output of 450,000 metric tons of rice across all 37 states, including the Federal Capital Territory.

Governor Otu reiterated his state’s dedication to agriculture, particularly wheat production, saying, “Our agriculture policy is focused on ensuring food availability, and this partnership will drive us to produce more grains and seeds for the nation.”

National Project Coordinator of the National Agricultural Growth Support Scheme, Mr. Buba Ishaku, expanded on the project’s goals, explaining that it will provide farmers with high-quality seeds and grains to boost crop yields and benefit millions across the country.